Apparently Santa is a bully and and the story is “an allegory for being gay in a homophobic society”:

When I re-watched the Rankin/Bass production this year, I was alarmed by the cold-heartedness of one of Rudolph’s persecutors in particular: Santa, who I’d always remembered as a sort of silent, complicit bystander to Rudolph’s abuse, not the ringleader he’s made out to be in the TV special. Santa visits Rudolph’s family cave soon after his birth; his main reaction to the newborn son of Donner, one of his most trusted reindeer, is “I hope that [red nose] goes away.” After an older Rudolph’s nose cover-up falls off in public, revealing its red glow, Santa tells Donner he “should be ashamed” of himself for raising such a son. (This interaction is one of the clearest bits of evidence that the whole tale is an allegory for being gay in a homophobic society.) Santa also repeatedly insults his elves when they write a cute little song for him, slouching and rolling his eyes like a peevish child during their performance. This depiction of Santa, who is typically portrayed as a generous, avuncular fellow, may be especially confusing for children taught to please the Christmas gatekeeper with “nice” behavior. Santa as unfeeling, punishing patriarch is not much of a role model.